All Forum Posts by: Jeff Warner

I just bought a magic jack today, works pretty good. It's for sure a basic no frills phone line but for moderate call volume it will work fine. They don't offer 800 #'s but you can create a vanity number with your local area code. I plan on answering the phone as opposed to playing a recorded message so I don't really need anything fancy.

I personally am not big on 800 #'s, I think a "Local Company" is more likely to get a call over the same sign with an 800#, especially if your dealing with someone about to loose their home.

I know there are plenty of people using 800#'s successfully but in order to make it work your going to have to project a professional image in everything you do. These days I like being a casual local guy or "neighbor" trying to help someone in a difficult situation, so a local # suits me best.

I don't believe that either choice is better then the other, just that you need to be consistent with your message in this or any other type of business.

Sorry to veer off topic there, I just wanted to share my thoughts.

Jeff

Check out List Source dot com for a list of absentee owners. Post cards are cheaper then letters and stuffing envelopes can be VERY time consuming. I've read some of your other posts and I know your free time is limited, with that in mind I would recommend using post cards and having a service send them for you. Another option is to buy post cards in bulk (5000 or more) and place your stamps and labels on the cards on your own. Writing or printing out letters will take up to much of your time.

Most companies that sell lists will give you plenty of options to weed out names that are irrelevant to your business, for instance you can select: 3/2's with Absentee owners that live out of state with a tax assessed value less then 100k.

Working a full time job and "driving for dollars" on your days off is definitely the hard way to becoming a full time Investor, or at least a slow process. Your going to want to get a direct mail campaign going as well as internet marketing and bandit signs. You can pay a high school or college kid $1.00 per sign so you'll have signs being put up while your at work. Personally, I don't think any of these methods are necessarily better then the other, I think you need to do all of the above to get things going. Good luck.

Jeff

Thanks Alex, I wish I had a better answer for that question.

Where is Will? I'm pretty sure he's buying most of his REO's before they hit the MLS.

Jeff

The thing I don't like about ring central is that they limit your minutes used, it's $9.99 a month for 100 minutes and $24.99 for 500 minutes. I think your $15 a month is the $9.99 plan paid monthly, $9.99 is the "annual" price.

They do have great features, just no unlimited plan like toktumi.

Jeff

My pleasure Steve. Good luck.

Jeff

You'll want a local company for your appraisal, a national company in my opinion won't be able to give you an accurate appraisal because real estate is local.

As far as contractors are concerned, my contractor actually doesn't expect to get the job because he knows the business and knows that most investors want to get the lowest bid and have the job done as fast as possible. In my initial conversation with him I stressed that I just don't want to look like a jack @ss to my buyers so I need a complete and accurate estimate. That said, he doesn't drop what he's doing to run over and give me an estimate. I can get him out there same day but usually it's after 5pm when his REAL work is done for the day.

Jeff

Local banks, if any would be your best bet. Countrywide, Citi Bank and Wells Fargo are too damn big and there is no telling how to get the right person on the phone.

I've just started to dig back through the MLS for my area and I've noticed 2 agents, one in particular that seems to have TONS of REO listings. I have not contacted either of them yet but I think these guys are getting listings directly from the banks. This is just a guess but I think I will have to prove that I'm not wasting their time and actually close a few deals with them before they will send pre listed property my way.

That's the only way that I can think of, anyone else have idea's?

Jeff

If your goal is to offer your buyers more of a complete picture of the deal you are offering I would recommend getting a written estimate from a reputable contractor as well as comps, tons of DETAILED pictures, and maybe even a video of the home. You can also order a desktop appraisal (got that one from Scott here on BP). If your using comps, take the actual comps with the address and sale info and fax or email it to your buyer. I also recommend you personally visit the comps to verify that they really are comparable to the subject property (got that one from Will Barnard) and maybe even take a picture of the comps.

I personally would not get involved in holding costs, some guys are better at rehabs then others and holding costs will vary drastically from one guy to the next. The more info you have the better off you'll be (obviously). If your marketing to out of towners you may want to show them crime stats for a neighborhood to prove your not wholesaling in a war zone.

I think it's also important to make sure that your contractor will stand by his estimate and if called upon do the work for the price he quoted. This will give you obvious credibility and tell your buyers that your serious and not there to waste anyone's time. I know a lot of people will guess and tell their buyers to bring in their own inspector, and I use to think the same way but i've since worked a deal for an inspection and written estimate that costs me $50.00. That $50.00 is money well spent and tells investors that I take wholesaling seriously and have no intention on hiding anything.

I know this sounds like an awful lot of work and it can be, but wholesaling is a JOB and you've got to hustle to make your $$. The fact that your looking at ways to provide more info to your buyers tells me that your willing to put in the work needed to be successful. I think good pictures and accurate numbers are the most important part for a rehabber wanting to analyze a deal. Good Luck.

Jeff

I'm just curious if any deals ever came from this connection?

Jeff

That's an excellent point Will. I use to think a buyers agent was the best route to go but your absolutely right about them only being able to pull from homes that are already listed... That is a definite disadvantage.

Do you try not to disclose to the Realtor that your wholesaling some of the REO's that you get? I've had some bad luck with realtors when I am up front about what we're doing, they seem to treat us like the competition after we disclose our intentions with a property.

I want to be honest and up front with everyone but I'm starting to think that stating the bare minimum might be a better option in the beginning. What are your thoughts?

Jeff